UK: Eurotunnel begins OFT challenge

Eurotunnel has officially begun its challenge of an earlier decision by the former Office of Fair Trading that forced the company to divest its MyFerryLink assets.

The ruling saw a series of challenges, but Eurotunnel will take its final stance against the OFT ruling at the Competition Appeal Tribunal.

Eurotunnel first acquired several ferries from the now-defunct SeaFrance in August 2012, but the OFT ruled that the acquisition gave the company an unfair advantage. But Eurotunnel, which has see the current Competition and Markets Authority uphold its predecessor’s ruling, will argue that the acquisition of assets does not constitute a merger and therefor it did not break competition rules.

While a decision by the Tribunal is not expected for at least a month, reports say should it uphold the OFT’s original ruling, MyFerryLink will have to close within six months.

But according to the CMA, Eurotunnel’s acquisitions gave the company a more than 50 percent share of the market on certain ferry routes.

Full content: Kent Oline

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